In this video, I discuss the video game crash of 1983 and explain why this sort of supply glut crisis that you should watch for as artificial intelligence adoption progresses. We much more commonly talk about consequences for the labor market and unemployment, but there is also potential for chaos stemming from the sudden appearance of lots of low-quality goods and some evidence this is already happening in areas like fiction writing.
This crash spiraled into the collapse of Atari, set the stage of Japanese brand Nintendo to become a fixture of American culture, and inspired business practices around licensing and marketing of video games that structure the industry to this day.